Otis Receives Permit For Kilgore Drill Program

VANCOUVER, BC - Otis Gold Corp. reported the receipt of formal approval from the United States Forest Service (the USFS) to construct approximately 1,200 meters of new access roads within the Caribou-Targhee National Forest and conduct drilling at approximately 16 sites into the untested "North Target" area at the Kilgore Gold Project, Clark County, Idaho. The planned North Target drill program will comprise between 4,000 to 7,000 meters of reverse circulation drilling, and is scheduled to commence mid-July 2015, subject to, among other things, securing appropriate development financing.

The approval was received after the completion of an Environmental Assessment by the USFS and subsequent collaborative negotiations with the USFS and other interested parties. Stated Otis President and CEO Craig Lindsay: "The approval of our Plan of Operation is a major milestone in the development of the Kilgore Gold Project. We can now proceed with further drilling in the exciting and highly prospective Kilgore "North Target" area, where our last program at the northern end of the Kilgore deposit encountered +80 m to +100 m intercepts of over 1.0 g/t gold at the very edge of our drill pattern."

The Kilgore Gold Deposit contains a NI 43-101 Indicated Resource of 520,000 oz Au in 27.4 million tonnes at a grade of 0.59 g/t Au and an Inferred Resource of 300,000 oz Au in 20.2 million tonnes at a grade of 0.46 g/t Au. The Kilgore Gold Deposit is a zoned low-sulfidation quartz-adularia epithermal hot-spring system hosted in volcanic rocks of Late Miocene age. Gold mineralization is of the classic disseminated, bulk-tonnage type similar to that comprising the classic and world-class size volcanic-hosted gold deposits at Round Mountain, Nevada. The deposit features very attractive metallurgy with excellent gold recovery averaging greater than 80% at 1.5" crush size based on column leach testing.